09-30-03Minutes
Little Rock Board of Directors
September 30, 2003
MINUTES
Board of Directors Room
City Hall — 500 W. Markham
Little Rock, Arkansas
September 30, 2003
4:00 PM
The Board of Directors of the City of Little Rock, Arkansas met in Special Session, with
Mayor Dailey presiding, for the purpose of consideration of the continued employment of
Police DROP participants, and to consider an ordinance calling for a Special Election for
the purpose of issuing bonds for various capital improvements. Nataki Blocker, Assistant
City Clerk, called the roll with the following directors present: Directors Pugh, Hurst,
Cazort, Keck, Stewart, Wyrick, Kumpuris, Graves, Vice Mayor Hinton, and Mayor
Dailey. Director Adcock was absent.
Mayor Dailey asked the Board to consider a modification to the special meeting agenda:
Mr. Carpenter, City Attorney, explained that the Board had previously approved moving
forward with contract negotiations, which has now been completed and the parties are
ready to close on Monday. The resolution is to allow the Mayor to sign the deed so the
transaction can close. The price is $175,000. Director Cazort moved to add the item to
the agenda, Director Graves seconded the motion, and by unanimous voice vote of the
Board members present, the item was added to the special meeting agenda.
M -1. RESOLUTION NO. 11,608 — Authorizing the Mayor and City Clerk to execute a
warranty deed for the conveyance of property located at 510 Main Street, know as the
former M.M. Cohn Building; and for other purposes. The resolution was read. A motion
was made by Director Cazort; seconded by Director Graves to adopt the resolution. By
unanimous voice vote of the Board members present, the resolution was adopted.
Mr. Carpenter explained that the Board had previously approved an Ordinance to hire a
company to help sell the building, and also approved going foreword with contract
— negotiations, which has now been completed. The parties are ready to close. This
resolution is merely to allow the Mayor to sign the deed so the transaction can close on
October 6, 2003. The price is $175,000 Director Cazort moved to add the item to the
agenda with Director Graves seconding the motion. By unanimous voice vote of the
Board members present, the item was added to the special meeting agenda.
1. RESOLUTION NO. 11,607 - To approve, pursuant to Act 1372 of 2003, the
continued employment of members of the Deferred Retirement Option Plan ( "DROP ")
for the Little Rock Police Pension and Relief Fund at the conclusion of the DROP period;
and for other purposes. Mr. Moore stated staff has reviewed this plan, and is very
supportive of moving it forward. Mr. Ed Adcock, Attorney representing the Board of
Trustees of the City of Little Rock Policemen's Pension and Relief Fund, stated that for
many years the statutes governing the fund has required officers who complete
participation in the Deferred Retirement Option Plan to cease employment immediately
after their participation in that plan, which is after they finish a full ten years in the plan,
and the time is fast approaching for officers who have been in this plan and have
completed a full ten years of participation. Mr. Adcock said he had been instructed to
work with the legislature to get a change to that statute through the last legislative session
that would do two things. One, it would allow members who want to remain police
officers to remain. Two, it would do so without hurting the fund. He said House Bill
1228 passed, and has been enacted into law and signed by the Governor as Act 1352. It
actually allows for continued employment of officers after they complete ten years of
DROP, under conditions that benefit the officer, the city, and the fund. The state
actuaries looked at this proposal and have already opined that not only would it not hurt
the fund, but would help the retirement fund. The reason being that during the period in
which they continue employment, after participating in DROP, these officers will be
required to cease receiving their mostly benefit during that period of time, thereby saving
the fund a considerable amount of money. It will also benefit the city in that it allows the
city to keep police officers on board at a point and time when officers are retiring or are
Minutes
Little Rock Board of Directors
September 30, 2003
on active duty and they are not being replaced right now. It allows the city to save
money on police officers that exercise this option. The cost of hiring and training new
officers is avoided when and if the time comes to expand the department, and the city
stops paying the 6% premium toward their retirement, the minute they go on this plan.
Their salary actually goes down 6 %. For the people who want to remain under these
terms and conditions, this allows them to do so. Mr. Adcock stated he thought it was a
win situation for the officer, the fund and the city. He said he knows of no opposition to
the plan. Director Hurst asked if there was a time limit on employment. Mr. Adcock
stated there is no time limit imposed by law. Director Wyrick was supportive saying that
it might also help offset or defer training costs of new officers. The resolution was read.
Director Keck, seconded by Director Wyrick, moved for the adoption of the resolution.
By unanimous voice vote of the Board members present, the resolution was adopted.
Mayor Dailey read a note from Director Adcock who was not present at the meeting
which stated: I regret to inform you that I will be unable to attend tonight's meeting
due to a viral infection. However, if I were present, I would enthusiastically be in
support of the ordinance calling for the election regarding the continuation of the
current millage support of our capitol improvement bonds. In addition, I will be
campaigning in every part of our community to encourage all of our citizens to support
the continuation of this millage that will support critical needs of our community.
2. ORDINANCE No. 18,941- Calling a special election in the City of Little Rock,
Arkansas, for the purpose of submitting to the electors of the City the questions of issuing
bonds for various capital improvements; and prescribing other matters relating thereto.
Mr. Bruce Moore, City Manager, announced that bond counsel as well as the City
Attorney was present to overview the ordinance. Mr. Moore announced the ordinance
was prepared according to the Boards direction at the meeting on September 23, 2003,
and there have been no changes. Mr. Carpenter, City Attorney, stated there had been
some brief modifications to the ordinance, which were format changes as to how the
ballot title was actually set out. The constitution requires that in an election of this type,
each particular capital item has to be set out separately, which was discussed at the last
meeting. He reviewed by saying the ordinance calls the election for November 4, 2003
and sets what is to be the amount of the bonds at the $75, 185,000, and notes in the
recitals and that 3.3 mills will secure them and they will be pledged for a certain period of
time. The first section of the ordinance actually calls the election for November 4, 2003;
the second section sets forth the ballot titles, and notes the various questions. The voters
are told at the very beginning that there will be a tax rate of 3.3 mills based upon which
of the questions are approved. The nine questions are listed, and the rest of the sections
are ones that deal with the technical aspects of the election. He said there is a section that
Director Adcock had discussed earlier about how the funds will be expended particularly
for street and drainage projects throughout the city, following the lead of what was done
with the Future Little Rock tax a few years ago. Once the election is over, and it is
determined which questions are passed, then a resolution would be put in place that
would bring together equal spending of the monies in the various wards. Mr. Bruce
Moore stated for public record, originally under drainage projects there was an Isom
Creek Flood Study in the Panky Area. He stated that bond counsel has informed staff
that dollars could not be spent for a study, and that approximate cost was $90,000. He
stated a drainage project for $90,000 has been added to Ward 4.
Mayor Dailey asked Mr. Shep Russell, bond counsel, to articulate on the items listed in
the proposal. Mr. Russell stated that Question 1 deals with the Fire Department
Improvement Bonds. Included with that will be the second phase of the Fire Training
Academy and also within that question will be some renovations to fire stations and
emergency generators for the fire department. Question 2 deals with the Police
Department. This includes a Downtown Police Service Center, emergency generators,
and crime detection equipment, which is basically the neighborhood surveillance video.
Question 3 deals with Emergency Communications. He said the way this is grouped is
the 311 Call Center, the combined police and fire radio equipment and emergency
warning. Question 4 deals with the Street Improvements, and the way it is phrased is
that it will include any improvements to streets, the street calming measures, and the
signalization. He stated this is the biggest portion of the bond issue at $72,000,000.
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Minutes
Little Rock Board of Directors
September 30, 2003
Question 5 deals with drainage. Question 6 deals with Parks and Recreation, which has
all improvements listed, including the Zoo. It includes the trail, the community center
renovations, improvements to existing parks, etc. Question 7 started out as a sidewalks
issue, but was expanded to crossing, and to make them related the area of pedestrian
school safety was established for schools inside the City. Question 8, deals with Animal
Services, includes upgrades at the current facility, improvements in the kennel and
adoption area. Question 9 deals with Robinson Center & Statehouse Convention Center,
which were grouped together, and include primarily stage improvements in the Robinson
Center and upgrades and improvements to restrooms at the Statehouse Convention
Center. Mr. Russell stated bond underwriters are in attendance at this meeting, and
would answer any specific questions.
Director Kumpuris asked Mr. Russell to state for public record who would be handing the
bonds. Mr. Russell stated that Crews and Associates, Stevens, and Morgan Keegan are
all three working on this bond issue. Mayor Dailey restated that if the ordinance is
adopted at this meeting, the election would be called for November 4, 2003 and on that
date, citizens would have the opportunity to continue the 3.3 Mills that the city has been
using as part of the system for doing capitol improvements for the last four or five
decades. Included in that are nine questions, and by law they must break them out in
several different ways, as Mr. Russell has outlined. Mayor Dailey stated that there would
be nine items to vote on. The ordinance was read the first time. Director Cazort,
seconded by Director Pugh made a motion to suspend the rules and place the item on
second reading. By voice majority vote of Board members present, being two - thirds in
number, the rules were suspended to provide for the second reading. The ordinance was
read the second time. Director Cazort, seconded by Director Pugh made a motion to
suspend the rules and place the item on third reading. By voice majority vote of Board
members present, being two - thirds in number, the rules were suspended to provide for the
third reading. The ordinance was read the third time. A roll call vote was taken and
recorded as follows: Director Pugh, yes, Hurst, yes, Cazort, yes, Keck, yes, Stewart, yes,
Wyrick, yes, Kumpuris, yes, Graves, yes, Vice Mayor Hinton, yes, Mayor Dailey, yes.
Director Adcock was absent. The ordinance passed.
A motion was made by Vice Mayor Hinton, seconded by Director Cazort to adjourn. By
unanimous voice vote of the Board members present, the meeting was adjourned at 5:10
PM.
ATTEST:
cy W od, City Cferik
Adjourn
APPROVED:
JLC
ton Dailey, Mayor
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